Ah, the life of a student - studying, partying, and of course, trying to manage finances without going broke. As a millennial in Canada, finding the right credit card is crucial to help manage expenses and even build credit for future endeavours. That's why we at Flik Eco are here to help you navigate through the numerous options and select the best Canadian credit cards for students. Let's dive into the topic and help you take control of your finances the smart way!
Best Canadian Credit Cards For Students Table of Contents
Why Do Students Need Credit Cards?
Why Do Students Need Credit Cards?
Before we get to the list of best credit cards for students, let's first understand why it's essential for a student to have one. The primary reasons are:
- Building credit: As a student, building a good credit score is essential for future financial needs like renting an apartment, getting a mortgage, or even applying for a job. A credit card helps you start building credit early.
- Managing expenses: Having a credit card can help students manage their day-to-day expenses and also provide temporary financial support during emergencies.
- Earning rewards: Many student credit cards offer reward points or cashback on everyday purchases, which can help save money.
How to Choose the Right Student Credit Card
When selecting a credit card, there are a few key factors to consider:
- Annual fee: Look for cards with low or no annual fees, as most students are on a tight budget.
- Interest rates: Compare the interest rates on different cards and opt for the one that offers the lowest rate.
- Rewards and features: Assess the rewards, cashback offers and other perks provided by the card, such as travel benefits or shopping discounts.
- Grace period: Ideally, you should pay off your credit card balance in full each month. However, it's good to opt for a card that offers a grace period, giving you more time to pay off your balance without incurring interest.
5 Best Canadian Credit Cards for Students
Below are the top five Canadian credit cards perfect for students:
1. BMO CashBack Mastercard: BMO offers a no annual fee card that provides cashback on all purchases, with an introductory offer of 5% cashback in the first three months. Moreover, it comes with a low-interest rate option, ideal for students on a budget.
2. Scotiabank Scene Visa: This card is perfect for students who love entertainment, offering points for every dollar spent on eligible purchases. You can redeem these points for free movies, meals, or other entertainment options. Additionally, the card comes with no annual fee and a grace period of 21 days before interest is applied.
3. Tangerine Money-Back Credit Card: Tangerine offers a no-fee credit card that gives 2% cashback on purchases made in selected categories and 0.5% cashback on all other purchases. Students can also switch categories based on their spending habits to maximize rewards.
4. PC Financial Mastercard: This card is specifically designed for students interested in earning reward points on everyday grocery shopping, with no annual fee and flexible rewards redemption.
5. RBC Cash Back Mastercard: RBC offers a no annual fee credit card that gives 2% cashback on grocery purchases and 1% on all other purchases. It also comes with a flexible cash redemption program.
Best Canadian Credit Cards For Students Example:
Imagine you're a student attending a Canadian university, and your monthly expenses include food, entertainment, and transportation. Based on these expenses, the Scotiabank Scene Visa card would be a perfect choice, as it offers reward points for entertainment and dining purposes with no annual fees. With this card, you can save money by enjoying free movies and meals by redeeming the points earned on your daily purchases.
And there you have it - the best Canadian credit cards for students to help you make an informed decision based on your unique financial needs. Remember that the best credit card for you will depend on your spending habits and lifestyle. So, choose wisely and start building a strong credit history while enjoying exclusive perks and rewards. Now that you have all the information you need, go ahead and apply for your perfect student credit card, and embark on a financially stable journey.
Don't forget to share this article with fellow students to help them choose the best credit card too! Also, explore other helpful guides and tips on personal finance and investing on Flik Eco!
